Former Energy Secretary Rick Perry delves into President-elect Donald Trump's energy policy on The Claman Countdown. President-elect Trump is reportedly planning to restart the Keystone XL pipeline, which faced opposition due to environmental concerns but was approved by Trump in 2017 only to be canceled by Biden in 2021. This decision has sparked a lot of debate and potential for job creation and energy security.

The Battle Over the Keystone XL Pipeline and Its Impact

The History and Background of the Keystone XL Pipeline

The Keystone XL pipeline was initially proposed in 2008 with the intention of transporting oil from Alberta, Canada, through Montana and South Dakota to Nebraska and then to refineries on the Gulf Coast and in Illinois. It faced significant opposition due to environmental and climate concerns. Then-President Barack Obama rejected the project in 2015, but Trump reversed that decision in 2017. However, Biden canceled the pipeline's permits in 2021. This decision has had a major impact on the energy industry and the jobs associated with it.There were various studies conducted on the impact of the proposed project. An Energy Department report from December 2022 determined that it would have created between 16,149 and 59,000 jobs and generated an economic impact of $3.4 billion to $9.6 billion. A prior report from the federal government in 2014 found that 3,900 direct jobs and 21,050 jobs would be created during the anticipated two-year construction process.

Trump's Stance and Potential Actions

During the 2024 campaign, Trump regularly criticized Biden's decision to cancel the Keystone XL pipeline. In his wide-ranging interview with Elon Musk, he emphasized that allowing the pipeline was about jobs and moving oil in a more environmentally friendly way. If he returns to the Oval Office, he could take executive actions to clear the path for the project's resumption. This could have a significant impact on the energy market and job creation.

The Challenges and Future of the Keystone XL Pipeline

The original owner of the Keystone XL pipeline project, TC Energy, removed some of the pipeline that had been constructed. Flynn noted that a lot of the infrastructure is still in place, but some has been sold and there may be a need to go through the local approval process again. TC Energy recently spun off its oil pipelines business to a new company, South Bow, which has not indicated whether it will attempt to restart the project.Regardless of whether the Keystone XL pipeline is ultimately restarted, Flynn believes that there will be more pipelines built crossing the Canada-U.S. border in the future. Canada wants to build more pipelines to meet U.S. demand, and pipelines like Keystone XL can help alleviate the global shortage of diesel fuel. Canadian oil sands can be refined more efficiently with these pipelines, helping to address the global supply shortage.